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Samskip appeals against rivals' VSA

Samskip is appealing against a decision by the Icelandic Competition Authority (ICA) to allow a vessel sharing agreement between Eimskip and Royal Arctic Line to go ahead

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The VSA was given the green light by the ICA towards the end of April, allowing the two operators to pool capacity on their services between Iceland and Greenland. ICA acknowledged that the VSA broke Icelandic anti-trust regulations, but gave the carriers an exemption until 2024 provided they could show they were not trying to drive up rates on their Iceland-Greenland services.

 

The two lines are building three new polar-class 2,150 TEU containerships as part of their collaboration, to bolster services between Greenland, Iceland, the Faroes, and the eastern Nordic countries. Royal Arctic Line also wants to be able to stop using the Port of Aalborg in Denmark as a hub.

 

Venner Hammeken, CEO of Royal Arctic Line, said that the VSA will allow seaborne trade in the West Nordic region to be more efficient. "It is very good to see that we are now able to operate to and from Iceland in the same manner as is common in the rest of the world, where companies can compete on service while sharing expensive capacity."

 

Eimskip described Samskip’s claims as unsubstantiated.

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